Re: NFCU Disappointment

Anonymous · ‎10-31-2019

@Anonymous wrote:
I'm confused ... I assumed you converted from CH13 to CH7. If that is not the case, could you verify the status of your CH13 and CH7 respectively?

As far as NFCU's guidelines, as of about two years ago, a minimum of six months post-discharge rebuild was required for a loan. Rebuid is/was considered 3+ tradelines with at least 6 months of payment history.

NFCU also uses a custom score as a primary scoring method. This utilizes your FICO score (typically equifax for auto loans) as well as other factors. Assuming you have no derogatory accounts at Navy Federal, a common reason for a low custom score is a short period with your current employer (e.g. less than a year).

At this point we can only speculate the reasons for your denial. If you are unable to obtain them over the phone or online, then I would wait until you review the denial letter for advice on how to proceed.

My husband was discharged from a ch7 in March 2018

I filed ch13 and it was dismissed in February 2018 (plan was to convert, however didn't need to anymore).Status shows on report as ch13 dismissed Feb 2018

My DH has been at his employer 4 years, I've been at mine 18 months now.

Both us have the 3 tradelines, but only 1 would meet the 6+ months payment history you speak of. *(could be the reason)*

Only checking/savings acct. No OD's or anything like that.

We will be paying down to the 10% or less over the next month as well to help since 29-30% over 2 cards no good.

Will move to the AZEO method (just learned of this here).

Thanks

Anonymous · ‎11-03-2019

1 year is wrong, we refinanced our 12.9 cap auto as well and tried for nfcu... they gave us a pretty good offer for a 72 or 60 month loan and we were about 7 months post dc. We both do have ccs with them etc though

Anonymous · ‎11-03-2019

I do wonder if that higher util is part of it as ours was at like 2 percent.

Also I've read a lot on lates of 120 days being A huge pain for the full 7 years. Any of those?

Anonymous · ‎11-03-2019

@Anonymous wrote:
I do wonder if that higher util is part of it as ours was at like 2 percent.

Also I've read a lot on lates of 120 days being A huge pain for the full 7 years. Any of those?

The higher utilization could be the issue. We will be at 9% by the time of the next month statement cut.

There are no lates on either of our reports since 2015 (DH 1x 90+ late on Student loan in 2015).

The decline letter hasn't arrived just yet, still waiting.....

We went ahead and applied for a "joint" secured card with them ($400) to help things along.

I hated the idea o doing a secured card since we have no secured cards with anyone else, but hey, what else can I do, they're refi rates can't be beat (i tried) & thats the goal, to get out from under this 12.9% interest rate and get it paid off asap!

We plan to try the refi with them again once the card graduates or 6 months from now.

Anonymous · ‎11-06-2019

....see post below

Anonymous · ‎11-06-2019

UPDATE: (Thanks y'all for all your advice/info so far on this)....

PS: I also applied for their Visa Cash Rewards card (alone) and was denied; opened a secured card immediately after the denial.

I received that denial letter as well; said denied due to Collection Action or judgment

(I have no collection/judgment on any of my reports).

I sent a secured message asking for an appeal of the denial as that info was indeed incorrect & to take a second look.

Received a response to my message saying:

Thank you for your message. Because we take our members' requests seriously, we conducted a second review of your application. After careful consideration, we are pleased to inform you that your recent credit card application has been approved. Your new Visa Signature cashRewards card has been issued to your address of record and should be received within approximately seven to ten business days.

Your new credit limit is $5,000. If we can be of any further assistance, please let us know.

I/We received the denial letter(s) for the auto refinancing as well:

It says it was denied due to: Bankruptcy

(see siggy on when our Bk's were DC'd & DM'D)

The following additional info was also provided:

TU Score: 627 (me)/706 (DH) (says scores range from: 336-843)

Your Navy Federal Credit Score (internal scoring model): 293 (range:100-450)

*Key Factors for Me were:

040- Derogatory Public Record or Collection Filed

020-Length of time since derogatory public record/collection too short

014- Length of time accounts have been established

010- Ratio of revolving balances to credit limits too high (we were at 29-31% at time of app)

Number of recent inquiries on consumer Report (true; looking for companies to refi auto at lower rate)

*Key Factors for DH were:

038- Serious delinquency and public record or collection filed

020-Length of time since derogatory public record/collection too short

010- Ratio of revolving balances to credit limits too high (we were at 29-31% at time of app)

002- Level of delinquency on accounts (must be referring to 2015 student loan lates showing)

**Questions I have at this point:

So I guess being 18 months post BK is no longer the prerequisite. Shall I guess it's 24 months now?
Should I appeal the auto refi denial as well now since what they thought was a collection on my report ( for their cc app) was incorrect?

3. What do you think i should do with this "secured" card they approved & sent to me? Should I close it? Don't really need it now.

Scupra · ‎11-07-2019

What kind of vehicle are we talking about here? Is the LTV favorable? BK is just the easiest thing to list on a denial, you will see the BK listed as a reason for the entire 7 years. Trying to have the auto loan looked at again sure couldn't hurt, always worth a try.

Anonymous · ‎11-07-2019

@Scupra wrote:
What kind of vehicle are we talking about here? Is the LTV favorable? BK is just the easiest thing to list on a denial, you will see the BK listed as a reason for the entire 7 years. Trying to have the auto loan looked at again sure couldn't hurt, always worth a try.

Purchased vehicle last year: November 2018.

2017 Equinox; 23k miles (currently).

Loan is with Cap 1 at 12.9% at 60 months

We have been paying more than the monthly payment & on scedule for a 3 month early payoff.

The LTV is indeed favorable. We owe about $2,400 less than the value of the vehicle at this point.

Guyatthebeach · ‎11-07-2019

To me that is a valid reason for a recon on the auto refi.

Guyatthebeach

Anonymous · ‎11-13-2019

Bumping for responses in regards to the following questions:

**Questions I have at this point:

So I guess being 18 months post BK is no longer the prerequisite. Shall I guess it's 24 months now?
What do you think i should do with this "secured" card they approved & sent to me? Should I close it? Don't really need it now since they reversed decision on the cashRwards card (as mentioned above).
Will closing the secured card wreck my chances for the auto refi later on when i re-apply?
Can I close 2 of my lower CL cards now w/o much effect to my score? (want to close: Overstock & Mission Lane Visa (along with secured NFCU card) No acivity or balances on any of these cards. All opened in last 6 months. Doesn't lower my utilization much at all now.

NFCU Disappointment

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